Parker | Scheer LLP Blog

New Q&A on Buying Foreclosures in Boston

To help buyers understand the dynamics of the foreclosure market in the Boston Area, we sat down for a Q&A session with Attorney Robert D. Stewart, Partner at Parker | Scheer LLP and head of the firm’s Real Estate Practice Group.

Q: What can you tell us about the foreclosure climate today and what people can expect if they are looking to buy a foreclosed property.

A: With foreclosure rates skyrocketing in Boston and surrounding communities in Massachusetts, many buyers, (investors as well as residential home buyers) are looking into buying property out of foreclosure. However, the process for purchasing foreclosed property is very different from the standard one in which the property is purchased from the current owner or resident. The negotiations and the issues that face Buyers and Lenders after the Purchase and Sale is signed and the closing is scheduled are very different than from the traditional purchase and sale agreement. Click to read the entire article on buying foreclosures in Boston.

Foreclosures: The Effect of Foreclosures on Condominium Owners

Over the past decade, many Boston neighborhoods have seen a dramatic increase in the number of properties that have been converted from multi-family rental properties to condominiums.  This trend is particularly strong in neighborhoods like the South End, South Boston and Charlestown, and also has spread to neighboring Cambridge, Somerville and Arlington, among other Greater Boston communities.  This has proven, at least until very recently, to be a very lucrative development option for owners and property developers, while at the same time continuing to provide a great source of available housing to buyers, particularly first-time buyers, who wish to live in or close to downtown Boston.

MA Real Estate Law: Home Inspections with New Construction

An issue that frequently arises in the course of working with home buyers of custom built or newly constructed homes is how to incorporate a professional home inspection into the purchase and sale agreement.

The home inspection is often an essential component of any buyer's decision to move forward after making an offer on a home.  There are a wide variety of unknown issues that a skilled home inspector can identify, whether with the structure, systems, roof and other major components of a home.  Nearly all offers to purchase allow the Buyer to conduct a professional home inspection, and offer fairly wide latitude for a Buyer to terminate the deal if they learn of unknown or undisclosed problems.

Adjustable Rate Mortgages: Considering the Impact of the ARM Reset

While many prospective buyers have been spooked by the recent trends in the lending market and rates have fluctuated in response to the conditions of the financial markets, it still remains a good time to borrow.  As underwriting standards continue to tighten and lenders look for varied ways to stabilize after the recent "meltdown," it is important to keep certain historical data in mind when entering the real estate market as a potential buyer/borrower. 

MA Real Estate: Securing Your Financing

With foreclosure rates surging, the volume of sales sagging, and the availability of credit tightening, the environment of the Massachusetts real estate market is volatile.  On the heels of an extraordinary credit boom, the lending industry has been forced to become much more conservative in its lending practices.  The demise of the sub-prime market has resulted in increased regulations in the underwriting process and caused loan approval to take longer and require extensive documentation.  That being said, there is still credit to be had on the open market and entering said market with preparation and proper documentation will allow for homebuyers to obtain the loans they need.

MA Construction Law: Clearing up the Confusion: Re-defining the term "Owner Occupied" in Section 1 of Chapter 142A

It has been six years since the Massachusetts Appeals Court came down with the Simas decision expanding the statutory definition of  the term "owner occupied" in Chapter 142A to include homeowners who never lived in their home but intend to live in the building when the home renovation work is complete. Yet the language of Section 1 of the Chapter 142A still reads as if new homeowners who have never occupied their home may not avail themselves to the protection of the act. This is a source of great confusion to both new homeowners and their contractors.